Bulls, bulls everywhere.
Look forward, and you see bulls. Look right and left and you see bulls. Bull, bulls everywhere and the only bears in sight lye trampled under the hooves of stampeding bulls. Markets around the world are also moving higher caught up in the excitement. The VIX is registering no fear as the futures once again point to another gap up open. Even though everything seems to be coming up roses, I will do what I always do ahead of the weekend. Go to the bank by some taking profits. Let the good times roll but never forget to take profits along the way!
On the Calendar
The first Friday of 2018 has several important reports on the Economic Calendar. Before the market opens, we get the biggest of these reports with the Employment Situation & International Trade at 8:30 AM Eastern. Consensus for nonfarm payrolls is 191K and an unemployment rate unchanged at 4.1%. Hourly earnings are expected to rise 0.3% with the average workweek hours bumping up slightly as well. The International Trade deficit is expected to widen once again from October’s 48.7 billion to 50.0 billion. 10:00 AM brings the Factory Orders report which is seen rising 1.1% fueled mostly by aircraft orders. Also at 10:00 is the non-manufacturing index which consensus expects a slight increase to 57.6 vs. 57.4 last month. After that, we have three Fed Speakers at 10:15 AM, 12:30 PM and 1:00 PM.
We have 11 companies on the Earnings Calendar today. Notable before the bell is STZ, HURC, and GBX.
Action Plan
Another day and another round of new record highs. This time all 4-indexes pitched in with new closing all-time-high prints with the Dow slicing right through the 25,000 milestone. Stampeding bulls for as far this eye can see. Even the President chimed in by saying, I guess 30,000 is the new target! As you might guessed the current futures action are suggesting the celebration will continue with a gap up of more than 70 points.
Now before you decide the market is never going down again and throw caution to the wind remember gap up opens to new market highs can also be blow off tops. Don’t get me wrong I am in no way suggesting that will happen I’m only reminding that the possibility exists. Also, gap up opens at market highs often have a tendency to create whipsaw price action. The market is very bullish so stay with the trend just don’t get complacent.
Trade Wisely,
Doug
[button_2 color=”green” align=”center” href=”https://youtu.be/UA_CqimALZY”]Morning Market Prep Video[/button_2]
Eleven Trade Ideas
At 9:10 AM ET. We will talk about the technical properties of 11 trade ideas with target zones, logical entries, and a protective stop. The HRC Live Trading Room is the best place to learn the trading technics of the membership and the HRC coaches.
► Must Read Trade Update (OSTK)
On January 4, we shared, in detail, the technical chart properties of OSTK in the Trading Room and why we thought this chart was set up for a trade. OSTK now plus 8.8% or $625.00 with 100 shares. Using simple rules and techniques to achieve swing trade profits. Learning to master the market does take a little work and dedication to success and when the dots connect you will look at life in a whole new way.
Learn our top 16 trading tools: The T-Line • T-Line Bands • Chart Patterns • Support • Resistance • Patterns • Buy Box • Volatility Stops • Price Action • Candlesticks • Profit Zones • Entry Zones • Protective Stops • RBB Pattern • Pop Out of The Box Pattern • Scanning for Success
[button_2 color=”light-green” align=”center” href=”https://ob124.infusionsoft.com/app/orderForms/Membership—Hit-and-Run-Candlesticks—Quarterly” new_window=”Y”]Subscribe for 3-Months • Learn our 16 Tools For Success • Cancel Anytime[/button_2]
► Eyes On The Market (Happy Friday)
And the bulls keep on going and going and going. Another positive day in the market and the trend continues to rise. The SPY is now a bit too far above the upper T-Line Band and likely to contract a little very soon.
The three T-Lines are moving averages that we use for a moving trend of Candlesticks (price action).
The VXX short-term futures bounced a little yesterday, but until price moves above the T-Line Bands, it’s just noise.
Rick’s Swing Trade ideas – MEMBERS remember to log into the members’ blog for the trade ideas
30-Day Trial • Monthly • Quarterly • Semi-Annual • Annual
Learn how and what we trade: The T-Line • T-Line Bands • Chart Patterns • Support • Resistance • Patterns • Buy Box • Volatility Stops • Price Action • Candlesticks • Profit Zones • Entry Zones • Protective Stops • RBB Pattern • Pop Out of The Box Pattern
Investing and Trading involves significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc. is financial or trading advice. All information is intended for Educational Purposes Only. Terms of Service.
Rick Saddler is not a licensed financial adviser nor does he offer trade recommendations or advice to anyone except for the trading desk of Hit and Run Candlesticks Inc.
*************************************************************************************
An amazing time to be a trader!
The bulls seem inspired to reach out to 25,000, and the VIX may be poised to make a new historic low. Indeed, An amazing time to be a trader! There is no fear in the market and money following to the market currently seems to be unending. When times are this good, it’s very easy for traders to become complacent. Take advantage of everything this bullish exuberance has to offer but maintain your focus and discipline. It could happen today or years from now, but eventually, the tide will go out. Be prepared, not surprised by always having a contingency plan. Let the good times roll but always have your go bag packed an ready.
On the Calendar
The Thursday Economic Calendar gets going at 8:15 AM Eastern with the ADP Employment Report. The ADP has lost much of its credibility this year having been glaringly wrong so much of the time. ADP is expecting 188k in jobs growth in December. At 8:30 AM we shift to Jobless Claims, which are expected to decline slightly to 240K this week. The EIA Petroleum Status Report is at 11:00 AM today and will likely be the most potential market-moving report of the day. They don’t forecast this number, but with the current rally in oil trader would the trend of supply reductions to continue. There are several other lesser reports today as well as Bill Announcements and a Fed Speaker at 1:30 PM.
On the Earnings Calendar, there are 16 companies reporting today. Notable is LK, MON, and PKE before the bell with PSMT and SONC after the bell. I would not expect any of the earnings reports today to be particularly market-moving.
Action Plan
New all-time highs in the DIA, SPY, QQQ with IWM continued to lag behind in consolidation. The Dow closed only 78 points below the huge round number of 25,000. Futures are currently pointing to a Dow gap up of about 70 points this morning suggesting 25K will most likely give way to the bulls today. I think the question is what happens when this major milestone occurs. As always stay focused on price action for clues and try not to predict or trade your bias.
Clearly, the bulls are large and in charge, but there is also the potential stumbling blocks to be aware of today. First, is how price will react to the big round number of 25K. Will we blast right through with price holding it as support or will it become a significant level of resistance for the Dow? Secondly, with the strong current rally underway in oil a surprise EIA Status showing a build in supplies could trip up this bull rally. The VIX is very near all-time-lows suggesting no fear but don’t make the mistake of being complacent. It is entirely possible with the gap up this morning that the VIX could set a new historic low. Truly, an amazing time to be a trader!
Trade Wisely,
Doug
[button_2 color=”green” align=”center” href=”https://youtu.be/FbEq_Gv1skw”]Morning Market Prep Video[/button_2]
Bullish Engulf | POOTB
Hit and Run Candlesticks Members ► Log into the Members Blog for complete blog post with trade ideas | Log In
NTNX – The buyers of NTNX created a Bullish Engulf on December 26 after a bullish run and a pullback. The Bullish Engulf followed by a (POOTB) Pop Out of The Box Pattern. The T-Line family has continued to trend higher proving the strength of the price action and commitment by the buyers. Several profit zones are available with a continued bullish trend.
At 9:10 AM ET. We will talk about the technical properties of NTNX with target zones, a couple of logical entries and a protective stop. We will also be showing our trade plan with risk/reward and expected profits.
► Must Read Trade Update (INSY)
On December 14, we shared, in detail, the technical chart properties of INSY in the Trading Room why we thought this chart was ready for a run. Yesterday the profits were about 113% or $710.00. Using simple rules and techniques to achieve swing trade profits. A traders lifestyle is worth the work.
Learn how and what we trade: The T-Line • T-Line Bands • Chart Patterns • Support • Resistance • Patterns • Buy Box • Volatility Stops • Price Action • Candlesticks • Profit Zones • Entry Zones • Protective Stops • RBB Pattern • Pop Out of The Box Pattern
[button_2 color=”light-green” align=”center” href=”https://hitandruncandlesticks.com/hrc-rwo-30-day-offer/” new_window=”Y”]30-Day Trial • Cancel Anytime • No Auto Billing[/button_2]
► Eyes On The Market
Thr Bulls have worked that charts very well the first two trading days of 2018, and I suspect today will be the same. We may all get to ware our 25K tee-shirt for the DOW reaching a milestone after today. So let’s all think positive. The SPY (ETF for the S&P-500) has been lightly bouncing off the T-Line Low reaching and holding on to higher highs. The Lower T-Line is a moving average that we use for a moving trend line of the Candlesticks (price action lows).
The VXX short-term futures hit a new low yesterday after trying to climb over the Lower T-Line only to fail.
Rick’s Swing Trade ideas – MEMBERS ONLY
30-Day Trial • Monthly • Quarterly • Semi-Annual • Annual
Learn how and what we trade: The T-Line • T-Line Bands • Chart Patterns • Support • Resistance • Patterns • Buy Box • Volatility Stops • Price Action • Candlesticks • Profit Zones • Entry Zones • Protective Stops • RBB Pattern • Pop Out of The Box Pattern
Investing and Trading involves significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc. is financial or trading advice. All information is intended for Educational Purposes Only. Terms of Service.
Rick Saddler is not a licensed financial adviser nor does he offer trade recommendations or advice to anyone except for the trading desk of Hit and Run Candlesticks Inc.
*************************************************************************************
Look forward, and you see bulls. Look right and left and you see bulls. Bull, bulls everywhere and the only bears in sight lye trampled under the hooves of stampeding bulls. Markets around the world are also moving higher caught up in the excitement. The VIX is registering no fear as the futures once again point to another gap up open. Even though everything seems to be coming up roses, I will do what I always do ahead of the weekend. Go to the bank by some taking profits. Let the good times roll but never forget to take profits along the way!
